Browsing by Author "Daku, Lefter S."

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    Assessing Farm-Level and Aggregate Economic Impacts of Olive Integrated Pest Management Programs in Albania: an Ex-Ante Analysis
    Daku, Lefter S. (Virginia Tech, 2002-04-11)
    Concerns about the harmful effects of pesticides on the environment, human health, and wildlife have led to research and promotion of integrated pest management (IPM) strategies. Recently, an IPM program was introduced in the Albanian olive sector through the USAID-funded global IPM-CRSP project to develop improved olive IPM technologies. This study develops and applies a protocol for integrated economic impact assessment of olive pest management strategies designed by the IPM-CRSP project in Albania. The main components of the integrated approach for economic impact assessment of olive IPM include (i) net return analysis for measuring farm level impacts; (ii) economic surplus modeling for measuring market-level impacts; and (iii) modeling of IPM adoption under output uncertainty. The economic surplus equilibrium displacement model developed for the Albanian olive market with no international trade accounts for IPM research-induced supply shifts, increased demand due to quality improvement, and research-induced spillovers to non-target zones. The main sources of data for performing partial budgeting and economic surplus analysis were: (i) an expert survey; (ii) partial budgets compiled based on a farmer survey and expenditure records from field-level experiments; and (iii) data collected at the market level. The data used to estimate the dichotomous logit model came from a 1999 survey of 200 growers and a survey of 120 growers carried out in 2000 in the Vlora district of Albania. The net return analysis indicates that compared to conventional practices, the proposed olive IPM packages generally promise higher yields, improved quality of olive products, lower pesticide use, and higher net returns to producers. However, adoption of some of the IPM practices implied higher production costs. Based on the simulation results, the Albanian olive industry has the potential to derive a net IPM research benefit between $39 million (assuming that farmers move directly from minimum spraying to IPM) and $52 million (assuming that farmers move from full pesticide program to IPM) over the next 30 years. Farmers' reliance on pesticide use on olives and other crops does not seem to hinder IPM adoption. Grower perceptions and the process of expectation formation significantly influence adoption decisions. Addressing the process of expectation formation and changing these perceptions by educational programs and better access to information will encourage IPM adoption.
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    Investing in Agricultural Extension: the Case of Albania
    Daku, Lefter S. (Virginia Tech, 1997-09-25)
    The purpose of this study is to provide a policy framework for designing an effective agricultural extension service in support of the market orientation of small farmers in Albania. The main findings and policy implications of this study can help guide the establishment of an agricultural extension service and define appropriate roles for the public and private sectors in providing extension services to Albanian farmers. A case study was conducted by interviewing researchers, extension specialists and university staff in Albania to identify the problems and constraints encountered in establishing extension service. Data from secondary sources, including surveys and case studies conducted by Tirana Agricultural University, were used to analyze the country's agricultural sector performance during the transition period. A three-part procedure is used to develop a policy framework for agricultural extension in Albania. The first part underscores the need for the many facets of extension and its goals to be viewed from a systems perspective, by examining its place within the matrix of support services and agricultural knowledge information system (AKIS). The second part emphasizes the need for an extension strategy and analyzes the main elements of a formal extension policy. A comparative analysis of the most eminent extension systems worldwide is provided to help design an appropriate extension system for Albania. It is argued that Albania needs an extension system that is "demand" as well as "supply-driven". Such an extension system needs to be designed based on the following basic principles: situation specificity, financial sustainability, system flexibility, and systemwide participation. A conceptual framework with respect to public goods and externalities is used in the third part to evaluate the incentive structure of private and public sectors for providing extension services to farmers. Two groups of factors that affect the private sector supply of extension are analyzed: (i) demand and supply-side factors that affect the profitability of the service and (ii) factors arising from the public good nature of extension output that affect the appropriability of returns of the service. It is concluded that a public-private extension balance should be achieved. The role of the public extension service to correct for undesirable effects of extension privatization is emphasized.